Learn CBSE

You are here: Home / CBSE / Business Studies Class 12 Revision Notes Chapter 1 Nature and Signi cance
of Management

HOME RD SHARMA XII RD SHARMA XI RD SHARMA X RD SHARMA CBSE CBSE SAMPLE PAPERS LAKHMIR SINGH

Business Studies Class 12 Revision Notes

Chapter 1 Nature and Signi cance of
Management
October 9, 2015 by phani

Search the site ...

Business Studies Class 12 Revision Notes Chapter 1

RECENT POSTS
Nature and Signi cance of Management
RD Sharma Class 7 solutions Chapter-1 Integers
NCERT Solutions CBSE Sample Papers Business Studies Class 12 Business Studies
Exercise-1.4 Q11

Points to Remember RD Sharma Class 7 Solutions Integers

RD Sharma Class 8 Solutions Powers

1. Management According to Marrie and Douglas,
Management is the process by which a co-operative group directs actions of others toward common RD Sharma Class 8 Solutions chapter 2 Powers
goals. Exercise 2.1 Q 8
Management is de ned as the process of planning, organising and controlling an organisations operations
RD Sharma Class 9 Solutions Rationalisation
in order to achieve the target e ciently and effectively. It is essential for all organisations.
2. Concepts of Management RD Sharma Class 9 Solutions Chapter 3
(i) Traditional Concept Management is the art of getting things done through others. Rationalisation Exercise 3.2 Q1
(ii) Modern Concept Management is de ned as the process (refers to the basic steps) to get the things
RD Sharma Class 9 Solutions Exponents of Real
done with the aim of achieving goals effectively and e ciently (effectiveness refers to achievement of task
Numbers
on time and e ciently implies optimum use of resources).
3. Characteristics of Management RD Sharma Class 9 Solutions Number Systems
(i) Management is a Goal Oriented ProcessOrganisations existence is based on objectives and
RD Sharma Class 7 solutions Chapter-1 Integers
management is the process which unites the efforts of every individuals to achieve the goal.
Exercise-1.4 Q12
(ii) Management is All Pervasive The use of management is not restricted, it is applicable in all
organisations big or small, pro t or non-pro t making. RD Sharma Class 7 solutions Chapter-1 Integers
(iii) Management is Multidimensional It does not contain one activity, it is a complex activity including three Exercise-1.4 Q10
main activities
(a) Management of house
(b) Management of people
(c) Management of operations
(iv) Management is a Continuous Process It is a never ending process. It consists of series of interrelated
functions which performs continuously.
(v) Management is a Group Activity Organisation is a collection of many individuals, every individual
contributes towards achieving the goal.
(vi) Management is an Intangible Force It cannot be seen or touched only it can be felt in the way the
organisation functions.
4. Objectives of Management Objectives can be classi ed into organisational, social or personal
(i) Organisational Objectives
(a) Survival It exists for a long time in the competition market.
(b) Pro t It provides a vital incentive for the continued successful operations.
(c) Growth Success of an organisation is measured by growth and expansion of activities.
(ii) Social Objectives Involves creation of bene t for society.
(iii) Personal Objectives Objectives of employees like good salary, promotion, social recognition, healthy
working conditions.
5. Importance of Management
(i) Management Helps Achieving Group GoalsIt integrates the objective of individual along with
organisational goal.
(ii) Management Increases E ciencyIt increases productivity through better planning, organising, directing
the activities of the organisation.
(iii) Management Creates a Dynamic OrganisationOrganisation have to survive in dynamic environment
thus manager keep changes in the organisation to match environmental changes.
(iv) Management Helps in Achieving Personal ObjectivesThrough motivation and leadership, management
helps in achieving the personal objectives.
(v) Management Helps in the Development of Society It provides good quality products and services,
creates employment, generate new technology in that sense it helps in the development of the society.
6. Management as an Art
Management as an art because it satis es following points
(i) It is based on practice and creativity.
(ii) Lots of literature is present which gives the existence of theoretical knowledge.
7. Management as a Science
Management as a science because
(i) It is a systematised body of knowledge.
(ii) Its principles are based on experimentation.
8. Management as a Profession It does not meet the exact criterion of a profession, it does have some
features of a profession.
9. Levels of Management
(i) Top Management It consists of senior most executives who are usually referred to as the Chairman,
Chief Executive O cer, President and Vice President.
(ii) Middle Management They are usually division heads who are the link between top and lower level of
management.
(iii) Operational Management They are usually the foremen and supervisors who actually carry on the work
or perform the activities.
10. Functions of Management
(i) Planning It refers to deciding in advance what to do, how to do and developing a may of achieving goal
e ciently and effectively.
(ii) Organising It refers to the assigning of duties, grouping tasks, establishing authority and allocating of
resources required to carry out a speci c plan.
(iii) Sta ng It implies right people for the right job.
(iv) Directing It involves leading, in uencing, motivating employees to perform the task assigned to them.
(v) Controlling It refers to the performance measurement and follow up actions that keep the actual
performance on the path of plan.
11. Co-ordinationTheEssence of ManagementCo-ordination means binding together all the activities
such as purchase, production, sales, nance to ensure continuity in the working of the organisation. It is
considered as a separate function of management, in order to achieve harmony among individual, efforts
towards the accomplishment of goods.
12. Characteristics of Co-ordination
(i) It integrates group efforts.
(ii) It ensures units of action.
(iii) It is a continuous process.
(iv) It is an all pervasive function.
(v) It is the responsibility of all managers.
13. Importance of Co-ordination
(i) Growth in Size When there is a growth in size, the number of people employed by the organisation also
increases. Thus to integrate the efforts, co-ordination is needed.
(ii) Functional Differentiation In an organisation, there are separate department and different goals. The
process of linking these activities is achieved by co-ordination.
(iii) Specialisation Modern organisation is characterised by a high degree of specialisation. Co-ordination is
required among different specialists because of their different approaches, judgement etc.
14. Management in the Twenty-First Century Management in 21st century means the new ways, trends,
ideas, techniques of doing business and makes it possible to think of the organisation as a Global
Organisation.

Filed Under: CBSE

Tagged With: Business Studies Nature and Signi cance of Management, Class 12 Revision Notes
RD SHARMA SOLUTIONS NCERT SOLUTIONS SOCIAL PROFILES

RD Sharma Class 12 RD Sharma Class 11 CBSE Class 12 CBSE Class 11 Like us on Facebook Follow us on Twitter

RD Sharma Class 10 RD Sharma Class 9 CBSE Class 10 CBSE Class 9 Watch Youtube Videos Follow us on Google Plus

RD Sharma Class 8 RD Sharma Class 7 CBSE Class 8 CBSE Class 7 LearnCBSE Forum

RD Sharma Class 6 TS Grewal Accountacy CBSE Class 6 CBSE Sample Papers

Copyright 2017 Magazine Pro Theme on Genesis Framework WordPress Log in